Vous êtes sur la page 1sur 8

AUTOMOBILE SERVICING STATION

A. INTRODUCTION:
For the past one and a half decade the passenger car population has been
steadily increasing. This is mainly because the Indian economy is now
considerably liberalised for all types of industries. India is having around 30
odd passenger car models on the roads developed indigenously and equal
number of models in commercial vehicle segment. Even though there has
been a decrease in sale of commercial vehicles, the sale of cars and other
vehicles has been increasing.

All the international major passenger car manufacturers and two wheeler
manufacturers are showing keen interest in the Indian market, and many
have come out with new models.
The Indian industry with its cost advantage and fundamental engineering
capabilities has become a major source.

The manufacturer has to gear up

to the expectations in the international market.

The car makers like Ford, GM, Hyundai, Mitsubishi, Peugeot have set up
their plants in India with an investment aggregating over Rs.40,000 crores.
Many of these plants are located in Chennai. Also the existing car makers Maruti, Fiat, Hindustan Motors are also bringing new models on the road.
Several new brands such as Zen, Alto, Wagon R, Santro, Accent, Fiat,
Palio, Siena, and Indica are popular brands.

The passenger car population in India is 6 cars per thousand which is very
low when compared to even neighbouring countries like Pakistan and
Srilanka. There is an immediate need to step up this figure to 7 per
thousand. The attractive automobile financing schemes have also boosted
the demand for cars in India.

The production of cars in the past few years had been as under:

Year

Production of No Cars

2001-02

500301

2002-03

557410

2003-04

782562

2004-05

960487

2005-06

1046133

The estimated Registered Population of the Cars & Jeeps as under:


Year

Registered Motor Vehicles-Cars & Jeeps

1990

2694000

2000

6314000

2001

6942000

2005

7548000

Source: Society of Indian 12000000 in to mobiles

B. PRODUCT USES & SPECIFICATIONS:


An automobile services station not having any specification, has to have
minimum facilities to service the vehicles, such as necessary equipments
facilitating regular washing, wheel balancing, door servicing etc.

C. MARKET POTENTIAL:
Increased productions of automobiles both in domestic market and world
wide have boosted the confidence of auto ancillary units and automobile
servicing sector.

As the servicing of existing vehicles population is an

essential activity, there is large scope in this area given the increasing
number of vehicles on the road year after year.

The present car population is around 12 million.

With an estimated

addition of 10 lakhs cars per annum, automobile sector is gearing up to


meet the escalating demands from the growing affluence among Indians.
D. TECHNICAL ASPECTS:
Installed Capacity
The unit will be undertaking, servicing of cars, wheel alignment and wheel
balancing:
No of cars to be serviced

3000 nos. p.a.

No of cars for wheel balancing

4800 nos. p.a.

No of cars for wheel alignment

4800 nos. p.a.

Plant
Machinery

&

Elgi air compressor Model TC500 with


all standard fittings.
Elgi garage Hoist Model PU4 with all
standard fittings
Elgi car washer Model 501TW with all
standard fittings
Grease Pump Model AH4/STD with all
standard fittings
Wall Guage stand
Elgi wall Model type inflator with all
standard fittings
Unipro 4 wheel alignment system
Balco Computerised wheel balancing
Total

Nos.
1

Rs.lakhs.
0.40

0.50

0.40

0.20

3.50

1
1

12.00
17.00

Process of Servicing:
Door Servicing, Car Washing, Wheel Balancing & Wheel Alignment will be
undertaken.
Raw Materials & Consumables per car
Black oil

0.75 litres

Diesel

0.75 litres

Grease

1 kg.

Soap water

Total consumables

For

3000 cars Rs.6.00 lakhs. The service centre

does not require any regular raw materials or consumables.

The stocks of

lubricants like grease, oil etc. will have to be maintained.


Land & Building:
Work Shed

500 sqft.

Service Station

300 sqft.

Addition shed for parking cars

300 sqft.

Office room

500 sqft.

Utilities

Electricity : As the servicing equipments are mainly hydraulically operated


the power consumption is low. Connected power load will be 2.0 HP (1.5
KW) and a servicing per car 4 KW. (5.5 KW hrs x 8 hrs x 300 days) 13200
KWhrs.

Water : Water is required for car washing and human consumption.

Effluent treatment : Not required.


Man Power Requirement:
Production
1. Supervisor
2. Skilled labour
3. Semi skilled labour
4. Manager
5. Helper

Nos
1
2
2
1
2

Add: Benefits 20%


Total
Total Wages & Salaries per annum
7. IMPLEMENTATION SCHEDULE:

Rs./Month

5000
4000
3000
7000
2500

Total Salary p.m.


5000
8000
6000
7000
5000
31000
6200
37200

Rs.4.46 lakhs.

All the equipments required for setting up of automobile service stations are
available locally from reputed suppliers and these can be procured within a
month. When all the other infrastructural facilities are made ready, project
can be implemented within two months time.
FINANCIAL ASPECTS

1. COST OF PROJECT

[Rs.lakh]

Building (Advance)

1.00

Plant & Machinery

15.00

Contingencies

1.50

Other Misc. assets

0.50

Pre-Operative expenses

1.00

Margin for Working Capital

0.50

Total

19.50

2. MEANS OF FINANCE
Capital

7.20

Term Loan

12.30

Total

19.50

3. COST OF PRODUCTION & PROFITABILITY STATEMENTS

Years

Installed Capacity (No.)


- Car Servicing

3000

3000

3000

- Wheel Balancing

4800

4800

4800

- Wheel Alignment

4800

4800

4800

60%

70%

80%

- Car Servicing

1800

2100

2400

- Wheel Balancing

2880

3360

3840

Utilisation
Production/Service (No.)

- Wheel Alignment

2880

3360

3840

Service charge per job


- Car Servicing( Including Water wash)

Rs.450

- Wheel Balancing Rs.45/Wheel

Rs.180

- Wheel Alignment Rs.50/Wheel

Rs.200

Total Value (Rs.lakhs)


- Car Servicing

8.10

9.45

10.80

- Wheel Balancing

5.18

6.05

6.91

- Wheel Alignment

5.76

6.72

7.68

19.04

22.22

25.39

Consumables

3.00

3.50

4.00

Power

0.38

0.44

0.50

Salaries

2.74

2.88

3.02

Repairs & Maintenance

0.24

0.26

0.29

Depreciation

4.13

3.09

2.32

10.49

10.17

10.13

expenses

3.60

3.78

3.97

Interest on Term Loan

1.48

1.29

0.92

0.00

0.00

0.00

15.57

15.24

15.02

Profit Before Tax

3.47

6.98

10.37

Provision for tax

1.28

2.57

3.81

Profit After Tax

2.19

4.41

6.56

Add: Depreciation

4.13

3.09

2.32

Cash Accruals

6.32

7.50

8.88

Wages &

Cost of
Production
Admin. & General

Interest on Working
Capital
Total

4. WORKING CAPITAL:

Months

Values

Consumptions
Expenses

0.50

0.50

100%

0.50

Margin

Bank

Amount

Finance

0.50

0.00

0.50

0.00

6. PROFITABILITY RATIOS BASED ON 80% UTILISATION


Profit after Tax

6.56

Sales

25.39

Profit before Interest and Tax

11.29

Total Investment

19.50

Profit after Tax

6.56

Promoters Capital

7.20

26%

58%

91%

7. BREAK EVEN LEVEL


Fixed Cost (FC):

[Rs.lakhs]

Wages &
Salaries

3.02

Repairs & Maintenance

0.29

Depreciation

2.32

Admin. & General


expenses

3.97

Interest on TL

0.92
10.52

Profit Before Tax (P)


BEL
=

10.37

FC x
100

FC +P

10.52
20.89
40%

MACHINERY SUPPLIERS

80
100

of installed capacity

100

1. M/s T.V Sundaram Iyengar & sons ltd, Tools & Garage Equipments, 54
Mount Poonamallee Road, St.Thoams Mount, Chennai 600 018
2.
M/s.Elgi Equipments Ltd., Elgi Industrial Complex, Trichy Road,
Coimbatore - 641018
3. M/s.Ramraj Industries, 15/56-D, Alagesan Road, Mettupalayam Road,
Coimbatore 641043.
4. M/s.Manjeet Eng. Industries, 71/1, Najafgarh Road, New Delhi 110015
5. M/s.Kanvar Eng. Industries, 207-A/4, Than Singh Nagar, St.No.10,
Anand Parbat, New Delhi 110005.